...NEW YORK (S&P Global) Feb. 27, 2018--S&P Global Ratings today assigned its '##+' issue-level rating and '3' recovery rating to Redwood City, Calif.-based colocation services provider Equinix Inc.'s proposed 750 million unsecured notes due 2024, indicating our expectation for average recovery (50%-70%; rounded estimate: 50%) in the event of a payment default. The company plans to use proceeds to fund capital expenditures and potential bolt-on acquisitions. The '##+' corporate credit rating is unaffected by the proposed transaction, as net leverage will remain unchanged. While the positive outlook reflects the de-leveraging potential in the business enabled by healthy and predictable earnings growth, any upgrade would require management to demonstrate a commitment to a balanced allocation of debt and equity to fund expansion opportunities, such that it can operate within its net leverage target of 3x-4x on a sustained basis. We estimate that this ratio will remain at about 4.4x on a pro forma...
